Ethereum is witnessing a significant shift in market activity. According to Glassnode, 540,000 ETH worth $1.84 billion has been withdrawn from exchanges over the past month. This signals reduced selling pressure and increased long-term holding—a strong vote of confidence in Ethereum’s potential despite recent underperformance. 540,000 $ETH ($1.84B) has been withdrawn from exchanges in the past month, according to Glassnode. This signals reduced selling pressure and increased long-term holding—a clear vote of confidence in Ethereum’s future. pic.twitter.com/nob1fM5Lz6 — Kyledoops (@kyledoops) January 20, 2025 Whales Show Renewed Interest in Ethereum Despite Ethereum’s sluggish performance and changes in the Ethereum Foundation’s leadership team, whales have been actively accumulating ETH. Over $1 billion worth of ETH has been purchased in the last week, coinciding with the withdrawal of nearly $2 billion from exchanges, indicating rising buying pressure and long-term optimism. $ETH has been one of the weakest performers lately, and even @VitalikButerin has decided to shake things up by changing the #Ethereum Foundation's leadership team. But is it time to give up on #ETH ? Let’s take a closer look — Ali (@ali_charts) January 20, 2025 Historical Trends and Resistance Levels Historically, Ethereum tends to perform well in Q1, and analysts remain optimistic about its prospects. However, for ETH to confirm a bullish breakout, it must overcome key resistance levels. On-chain data highlights the $3,360–$3,450 range as a major supply wall. Meanwhile, technical analysis suggests ETH is forming the right shoulder of a head-and-shoulders pattern, with a neckline at $4,000. Breaking above this level could trigger a rally toward $7,000, aligning with Ethereum’s 3.2 MVRV Pricing Band. Slowing Network Growth Raises Concerns One concerning trend is Ethereum’s declining network growth. The number of new ETH addresses has dropped by 9.32%, signaling reduced adoption. This could pose challenges for long-term growth unless network activity rebounds. Foundation Sells ETH Amid Market Uncertainty The Ethereum Foundation has sold 200 ETH ($672,000) in 2025 at an average price of $3,361. ETH remains 31% below its all-time high of $4,878, while Bitcoin has surged to a new record of $109,000. [ATTENTION] The Ethereum Foundation just sold another 100 $ETH for 336,475 $DAI ! In total, they have sold 200 $ETH ($672K) in 2025 at an average price of $3,361 over the past 12 days. $ETH remains 31% below its 2021 ATH of $4,878, while $BTC has hit a new ATH of $109K today!… https://t.co/9CWWVsrfhj pic.twitter.com/ZOr504i1HG — Spot On Chain (@spotonchain) January 20, 2025 Final Thoughts Ethereum’s future looks promising with rising accumulation and reduced selling pressure. However, overcoming resistance levels and addressing slowing network growth are critical for ETH to reclaim its position as a top-performing asset. Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services. Follow us on Twitter @nulltxnews to stay updated with the latest Crypto, NFT, AI, Cybersecurity, Distributed Computing, and Metaverse news ! Image Source: jbaung007/ 123RF // Image Effects by Colorcinch
